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>> union bank has put its financial strength to work for a wide range of companies, from small businesses to major corporations. can we do for you? >> and now, "bbc world news." >> an attack on a french magazine that printed a cartoon of the prophet mohammad on the cover. another fine mess -- leaders to hold talks with the greek prime minister over his support for a euro bailout neck -- referendum. wikileaks founded julian assange can be extradited to sweden to face sexual assault allegations. welcome to bbc world news. i'm david eads. also coming up -- the weather forecast of beijing, smog and more smog, why the air quality has reached hazardous levels. and sentencing do for pakistan's disgraced cricketers.

they await their fate. hello, thanks for being with us here on bbc world news. a fire has ripped through the offices of a french satirical magazine in paris after an arson attack on the building. the publication, called charlie hebdo, printed a cartoon of the prophet mohammad on the front cover and also named him as the guest editor. the paper says the aim was to celebrate what it called the success of islamists in tunisia and libya and denied it was trying to be provocative but it has been condemned by the french prime minister. >> witnesses are saying a petrol bomb was hurled through the window and it seems to have said some of the equipment in the satirical magazine's office on fire. an editor, who has been appearing on the french news

channel, says he pretty much doubt they will be able to publish next week. it is a weekly satirical magazine -- and most of their equipment has been destroyed. the magazine's website has also been hacked into and messages that of english and turkish attacking the policy of naming the prophet mohammad as best answer and criticizing islamist parties. so, yes, it does seem like a fairly thorough job was done. it seems that the attack took place about 1:00 in the morning local time. police were called to the scene fairly quickly. some witnesses report seeing two men who they describe as possible suspects, but the men were not detained. >> the magazine says it was not trying to be provocative. let's be honest -- it is a provocative type of magazine,

isn't it? >> it has always been a provocative type kind of magazine. it runs a lot of cartoons. it is considered to be on the left of the political spectrum. it was founded in 1970, and it has always tried to be slightly out rages. also on the issue of being provocative when it comes to islam, in 2007 the magazine was taken to court by a muslim associations in france because it reprinted danish cartoons which were deemed offensive by many muslims around the world. this time, it does show -- i am not going to will up the entire front page because it shows a cartoon of the prophet mohammed, but i think you could probably see the title as charlie hebdo,

and underneath it says sharia hebdo. then there is an editorial that takes issue with the notion that religious parties can take part in a democracy, specifically referring to what it describes as the victory of this is not -- of an islamist party in tunisia. >> why on earth did he do it? what can we do about it now? those are the sorts of questions europe's leaders have been asking themselves over george papandreou that a decision to hold a referendum in greece on the bailout plan. the greek prime minister will be holding talks with president sarkozy of france and the german chancellor angela merkel as they meet in cannes later today and head of a g-20 summit. mr. papandreou also surprised many of his own party, although his cabinet has now come out and support.

this report. >> there was an air of calm in athens this morning but no hiding the political turmoil in greece. overnight, there has been a marathon seven-hour cabinet meeting. the morning papers reflected the crisis. it is ridiculous what they are doing. they should have asked people before they went to the imf and ask them then to make the sacrifices they are making now. i think the prime minister that a decision is the right one. he had pressure from the european union and everyone needs to take responsibility. >> prime minister george papandreou's plan is controversial. he believes a referendum is the only way to overcome the resistance to the eu debt rescue package. but the idea of spending cuts and tax increases is unpopular, and there is a possibility the greek government could collapse before a referendum is held. with the chinese president on his way to the g-20 summit of global leaders, beijing has

pledged support to the european union and efforts to maintain financial stability. >> china consistently places leap -- importance on the euro and the eurozone development and always believed the eu has the ability to resolve, difficulties. no matter as it is now, in the past, or the future, china will always be an important investor in the european financial market. >> the g-20 meeting in cannes is in a state of some confusion before it has begun. the french and german government thought they had an agreement to save the eurozone. but last night, president sarkozy said the greek decision to hold a referendum surprise all of europe. it all adds up to renewed uncertainty. that is something the market to dread. bbc news. >> we have approved yesterday, watching the market plummet down. let's get more on the story.

tonya is an cannes for the g-20 summit. if you thought it would be a pleasant gathering of 20 of the world's most powerful but it will be pretty messy, isn't it? >> it is. behind me, you can see a rather opulent scene, the yachts. angela merkel of germany and her counterpart, sarkozy of france, will meet in just a few hours time. then there is a meeting with the premier of china, followed swiftly by a meeting with the greek prime minister, at which he will no doubt be explaining why it appears, at least, he has precipitated or taken the lid off of a political crisis in the country which has effectively from the greek bailout deal in question. one of the key planks designed to get the eurozone out of the crisis. >> what do you think the likes of sarkozy or angela merkel are

going to do with this new bit of information that they discovered? i suppose they have got to try and help sell it. >> what would appear not to be on the table at this point is the idea that greek debt, more agreed that would be forgiven. they settled for about 50% for the moment and it appears of the greek population as saying it is not enough, because of pressure being put on the people in a country where the company is contracting at an annual rate of 5%. what can they do? quite frankly, in the immediate term, this afternoon, there is very little they can do. it looks like in greece but you will see a vote of confidence on friday. what is hugely damaging is it postponed and the ability to deal with the underlying problem. when you have postpone it, you have uncertainty. financial markets respond to uncertainty with volatility.

what it effectively means is the potential is that the cost of borrowing in france, spain, italy, portugal, and ireland moves up. >> for now, thank you very much. a lot more to come out of cannes in the next couple of days, clearly. let's catch up with other stories. the british foreign secretary has condemned it is rare that a building of settlements. it is run announced it monday after the u.n. grant that the palestinians full membership in unesco. in britain, great controversy about protesters camped out down london's st. paul's cathedral. the archbishop of canterbury has not a expressed sympathy with the processor. he is backing the cause for the introduction of a controversial tax on financial trading. he said it would help advance what it calls the moral agenda of the protesters. off the coast of new zealand, of

this -- officials flying over the stricken cargo ship, concerned that the heavy tilting on one side in the bad weather could leave it to break apart. no obvious signs of damage, though, and the salvage team will head back to carry out a full mission. aaron is with me here. you should be a doctor would scramble like that. >> that is your prescription. [laughter] i told you. let's just take a quick look at the markets today. we have seen a little, slight pause, if you will, after yesterday's dismal borman's. the market, as you and i were talking about them at this very st. -- same time, they took quite a tumble, european banks in particular. of course, european banks are sweating profusely at the moment because the money they had tied up with the likes of greece and

italy and spain. i mentioned italy because that is exactly what the markets are doing. they are pausing to day. the worry now is with greece, a possible no with this referendum could possibly push it down the default band and all eyes and ears would turn to italy. i would love to be a fly in the wall at that meeting this evening between a very angry sarkozy and merkel and prime minister george papandreou. this just throws everything up in the air. even the dutch finance minister coming out today and saying this referendum now threatens greece's next truck -- tranche of the original bailout. this money they have been getting from the eu and imf has been keeping greece off load so is this referendum throws that -- >> moving on.

someone said morphine? >> that is, the u.s. fed meeting. we plan this very well. the fed wraps up its two-meeting today. have been talking about interest rates and the whole strategy at hand. they will keep the interest rates near 0. but even despite the last up meeting, which was certainly better than expected -- they have unemployment, the stagnant housing market. today, ben bernanke, the big boss there, there is a press conference we all listen to after they make their interest rate decision or non-decisions. well the u.s. pump more money in, will they do another round of stimulus to try to kick start or restart the economy? that is what everybody is wishing all hope of four. let's not kid ourselves. the americans and the central bank is watching euro very carefully did what happens in europe i faxed the u.s. and vice versa. i will have a lot more on the

world business report -- and improve my handwriting for next time. [laughter] >> thank you for being with us. a lot more still to bring it, including -- this is beijing 2008, birds and a stadium and this is beijing in 2011. how did they get rid of the small began? -- smog again? nearly two years after he he was hit with the earthquake and the hundreds of thousands are homeless. even those with money are struggling to find decent housing. as part of the effort to get the middle class to move back into permanent housing and kick start some of a construction boom, the government and international lenders are trying to reinvent the mortgage market. >> shacks cling to the hillside of this home to tens of thousands of people. conditions may be grim, but the

inhabitants are better off than many of their fellow haitians. at least they have a solid growth over their heads. it is almost two years since the earthquake devastated the city, but half a million people were still living under flimsy tents and tarpaulins. the poor are waiting for reconstruction efforts to reach them. but for the 10% of the population with a regular income, there is now a chance to -- now a chance to borrow enough. they're trying out new mortgage schemes. >> you have to select them -- and the people working in the business sector. so, you have to be very selective. with the amount of money that you have you cannot imagine to build houses for each and every person who does not have a house. >> so far, just 300 people have shown an interest in the

national bank's mortgage scheme, and only 10 people have actually qualify for a mortgage. but the bank says it is a start. construction companies are optimistic and building new homes -- hoping they will get a government seal of approval. however, with prices starting around $20,000, homes like these will remain out of reach for most of haiti's people. >> you are watching bbc world news. i'm david eades and these seven had lines. arsonists attacked a french magazine that printed a cartoon of the prophet mohammad on its front cover. europe's leaders are to hold talks with the greek prime minister over its call for a euro bailout referendum. the operator of the fukushima nuclear plant which was so badly damaged in an earthquake in tsunami that hit japan earlier in the year has detected a radioactive gas which might

indicate a new problem. the company says the gas was found near reactor two. we will have more on that in the course of the day on bbc world news. now, i want to take you back to the beijing olympics. you might remember the links chinese authorities went to get the level of smog down. that was then. i am afraid for the past two these beijing has been covered once again by a thick blanket of smog, called the closure of highways and cancellations of hundreds of flights as well and reportedly hospital admissions are up by almost a third. our correspondent reports on how people are dealing with the smog. >> beijing is not always easy to make out. currently choking on some of the worst pollution it has seen this year. some in the city are taking precautions. he is pulling his child out of school early.

he does not want him playing outdoors. >> the pollution at this moment is beyond the standard for the normal activities outside. >> emissions of factories, power plants, 5 million cars make beijing some of -- one of the most polluted cities on earth. we will come out of there -- julian assange has just come out -- to speak about extradition. >> it prevents a u.k. courts from considering the facts of a case. as judges have made clear here today. we will be considering our next step in the days ahead. the full judgment will be available on the sweetened versus assange.com. no doubt there will be many attempts to try to spin the proceedings as they occurred

today but they are merely technical. go to sweden versus assange.com and you want to know what is really going. >> mr. assange? >> that was it. a short and sweet from julian assange. just saying that the full detail of the proceedings will be going up on very much his campaigning website regarding the case which swedish authorities are bringing against him. they want him extradited from britain to sweden to answer charges of alleged attempted rape and sexual -- assault. he lost his appeal, as we know, in the high court, and he has the opportunity to consider over the next 14 days whether he will appeal and take his case for this bill to the supreme court. a few words from julian assange. it must seem a little bit court stories are flavor for the moment because here in london we

have three pakistani cricketer is now in court awaiting sentencing over match fixing. mike is with me now. >> i was reading james pierce's tweets from the high court and he said the judge has yet to appear. but i think he has gone in now. it is interesting that he was saying that mohammad asif was looking straight ahead and looking very intense. imagine what they were going through. imagine being international cricket stars. first they were suspended, could no longer play. and now they face a potential jail sentence which could be seven years. >> just a word that james put saying hemir's lawyer will not be blaming others. that will come as a relief for someone. >> there was a theory that

mohammad asifa mohammadmir, the youngest -- mohammad amir -- maybe even not know what was going, he was dragged into. they're saying now he will not be blaming others and will take the full punishment, whatever it may be. his wife just had a baby boy yesterday. half an hour before the verdict was announced. it came in not guilty for -- they were convicted for both of the charges. >> as soon as it comes out we will be bringing it, all the sentencing for all three. mike, thanks very much for now. three months it has been since famine was declared in several parts of somalia. neighboring ethiopia but was also affected by drought and nonetheless tens of thousands of somalis seeking refuge there as they have and kenya as well and

aid operations have been rampant. they're facing, though, a new challenge. the rain has arrived. mike wooldridge has been there and has just been back again. >> still they crossed the border from somalia. aid workers embraced for an even bigger influx into ethiopia once again. today, around 300 new refugees passed through the meat -- the reception center at the border. the rains did give us some hope, this man said, but they were very hungry. so instead of staying, we decided to flee. it is conservatively estimated that 800 people, mostly children, have died in this camp in the past four months. but for these children at least, this temporary school provides a new start after so much destruction and often trauma in their lives. the rains would be a blessing if

they would help the recovery. it could also be a curse at this stage of the emergency. here at the newest of the camps, now they are seeing a rise in pneumonia and diarrhea. a >> it is rating on -- it is raining every day. people in the camps and precarious positions. there is a concern that the children deadman's to gain some weight in the last few weeks might be pushed back. >> in this intensive feeding tent, 18-month-old is male evil in fights for his life. -- ishmael ibrahim fights for his life. in this camp, they already building preparations for a bigger one.

it is for now a crisis without a foreseeable end. mike wooldridge, bbc news, southeastern ethiopia. >> a change of scene the world's first fully fledged television service launched 75 years ago this very day. it was done from the bbc studios and alexander palace in north london get over time, the palace became known as alli palli. looking at how some of the early programs remain and some of those who worked there. >> the station goes on the air. >> they thought of calling at photo -- telegraphy, seen by wireless, or the electric telescope. they decided on television. of the world was never the same again. blue♪ all about us in the

♪ >> and especially written a song. originally only 20,000 homes in the london area could receive the programs. bbc was just given 18 months to get the television service on the air. it came to alexander palace partly because it was available and there was plenty of space, but partly because it was so high up. the television trend -- transmission teller had to be a certain level above sea level. but it turned out putting a television transmitter and the television studios and the same building was not such a good idea. >> having the studio's next door to the transmitter meant the very powerful radio transmission coming out of the transmission area, used to getting into the electronics of the cameras, you used to draw sparks between 9 and force of the transmitters were on, and there were various

incidents along those lines. >> the technology may have been primitive but the programs were ambitious. they included the first proper outside broadcast, the coverage of the 1937 coronation. but in 1939, the outbreak of war halted transmission. it resumed in 1946. ivan littlewood join as a producer secretary and went on to become a long serving container producer herself -- yvonne littlewood. >> nobody knew it was going to be any better. >> she has fond memories. >> it was a big family atmosphere. you knew everybody, you see? you knew everybody from first name -- directors. >> today, television is a vast, global industry and the world's favorite form of entertainment.

but it started small, on a hilltop in north london. bbc news, alexander palace. >> more nostalgic on our information super highway site, bbc.com/news. thank you for watching bbc world news. >> funding was made possible by the freeman foundation of new york, stowe, vermont, and honolulu. newman's own foundation. union bank. and shell. >> this is kim - about to feel one of his favorite sensations. at shell, we're developing more efficient fuels in countries like malaysia that can help us get the most from our energy resources. let's use energy more efficiently. olt's go